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Independent ~ Proven Experience ~ Market StrengthPresentation forUNION COUNTY PUBLIC SCHOOLS, TENNESSEEAugust 2, 2011Unlock Your Benefits Administration and Enrollment Potential With . . .

LOCATIONSTaylor & Sons of Tennessee, LC134 Carriage House Drive, Suite 6Jackson, Tennessee 38305

Other office locations:Hammond, LouisianaWest Monroe, LouisianaKansas City, MissouriColumbia, MissouriNatchez, Mississippi Independent ~ Proven Experience ~ Market Strength2

OUR SERVICESEmployee Benefit PortalElectronic Enrollment with one-on-one counselingT & S will provide substitutesOur Benefit Representatives are not paid a commissionWe are totally independentT & S provides live Customer Service. You are not told to contact the carrier. You can call: 1-888-908-2637

Independent ~ Proven Experience ~ Market Strength3My Benefits PortalYour employee benefits on line. Available to you 24/ 7.44

TCRS and Union County Public SchoolsAnalysis of coverage66Disability retirement: TCRSProvided disability benefits are a component of your state retirement pension plan.Benefits vary if incurred off the job or on the job.Benefits can vary by length of service.Approval for benefits is not automatic.The application process normally takes 2-3 months.Disability defined:Benefits are designed to provide a secure income to you if you become sick or injured, can no longer perform the essential duties of your job, and have a condition that is permanent in nature.7Disability benefitsAnalysis of coverage88

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10 1. Provides employees with greater flexibility to customize disability plan

2. Employee can choose from 6 Elimination Period options

3. Employee can elect increments of $100 up to 67% of covered income up to $7,500 per month

4. First 12 months of disability does not offset with any sources of income Educator Plus 5. 1st Day Hospital Benefit: If Elimination Period is 30 days or less, the Elimination Period is waived for in patient admittance (i.e.. Pregnancy) Educator PlusHighlights of Disability Plan116. Minimum benefit is 25% Educator Plus

7. Limited Pre-Existing Benefit: 3 month benefit is payable if disability is determined to be a pre-existing condition Educator Plus

8. Extended Disability: Additional benefit amount paid for 5 years beyond maximum durations if 2 of 5 ADLs cannot be met

Highlights of Disability Plan continued..12Comparison of rates $36k salary, $1,800 benefitEducator plansUSAble - 1USAble - 2Reliance Standard Plan 1 Elimination period 1 / 461 / 610 / 314 / 1430 / 3061 / 6190 / 90Ages 25-29$50.40 $21.24 $47.88$39.60$28.08$18.00$7.92Ages 35-39$56.88 $27.36 $52.56$49.50$37.98$23.40$17.64Ages 45-49$69.48 $38.88 $63.00$56.70$54.36$33.12$30.78Ages 55-59$95.40 $61.92 $90.72$83.34$81.00$55.80$48.4213Keep in mind these plans automatically combine short and long-term coverage.Financial strengthUSAbleReliance StandardInsurance in force$38 billion$144 billionTotal assets$392 million$3.5 billionAM BestAA14Group Life benefitsAnalysis of coverage1515Base Life and AD&DYour Base Life and AD&D benefit will now be provided by Reliance Standard.

Your new benefit amount will be $12,000 life and accidental death and dismemberment.16Voluntary Life benefitsAnalysis of coverage1717Key provisions18AgeUSAbleRLSIMax issue employee5 x salary to $300k$500kGuarantee issue employee5 x salary to $100k$200kReduction formula1/3 at age 65 and again at age 70To 60% @ 75, to 35% @ 80, to 27.5% @ 85, to 20% @ 90Spouse guarantee issue50% of ee to $30k$50k, and is not tied to ee participationChild benefit$10k$10kWaiver of premiumAfter 6 months, to age 65After 6 months, to age 70Accelerated death benefit50% up to $150k50% up to $250kPortabilityIncluded at different rates, may not be retired or disabledIncluded at different rates, may be retiredConversionIncludedIncluded1818Rate Comparison of Voluntary Group Term lifeExample of $75,000 of Coverage Monthly PremiumAgeUSAbleReliance Standard25 - 29$6.00 $4.88 35 - 39$10.50 $7.13 45 - 49$27.00 $18.00 55 - 59$73.50 $47.25 19Rates are 20% to 40% lower on every age band than in force planThe maximum benefit level is increased from $300,000 to $500,000There is no salary limitation on the benefit amount for employeesGuarantee Issue Amount is increased from $100,000 to $200,000 for employeesGuarantee Issue Amount for spouse is increased from $30,000 to $50,000Spouse only coverage allowedSpouse not capped at 50% of employee amountSpouse can elect amount up to $500,000Age reduction doesnt begin until age 75 for employee. Which is increased from 65 under the current planPortability includedRECOMMENDATION RELIANCE STANDARD20Permanent Life benefitsAnalysis of coverage21If I had my way I would write the word insurance over the door of every house, because I am convinced that for the sacrifices which are considerably small, families can be secured against catastrophes which would otherwise smash them forever.Winston Churchill said:22A man who dies without adequate life insurance should have to come back and see the mess he created.Will Rogers said:2324Why do employees prefer permanent life insurance made available at work?Individually owned policy that follows an employee into their retirement years with premiums that will not increase with age.What is the annual % of death claims paid by life insurance? Permanent life:97% Term life: 3%24 Independent ~ Proven Experience ~ Market StrengthFidelity Lifetime Life Insurance & Long-Term Care Life Insurance w/Guaranteed Rates to age 120Long-Term Care Protection to age 120Accelerated Death Benefit for Terminal Illness Guaranteed rates to age 120, portable and individually-owned! Other Group Life coverage decreases with age and premiums increase. Pays 4% of Face Amount paid monthly for up to 75 months (6+ Years)! Automatically included, 50% of Face Amount advanced if diagnosed with a terminal illnessThis is the most ECONOMICAL and EASIEST way to buy LTC COVERAGE!25Fidelity Lifetime Life Insurance & Long-Term Care Future Purchase OptionLimited Underwriting Protects future insurability, opportunity to increase coverage on an annual basis, even as health changes!Employee CoverageSpouse CoverageChild(ren) Coverage Up to $75,000 for employees, NO HEALTH QUESTIONS Up to $150,000 for employees, 3 HEALTH QUESTIONS Up to $75,000 for spouses, 3 HEALTH QUESTIONS Childs Term Rider Benefit covers all dependent children in family (18 and under on issue date, can remain on until age 26). NO HEALTH QUESTIONS26Cancer Plan benefits27Dental Plan benefits28Humana DentalRenewing dental benefits with Humana Current 12thlyRenewal 12thlySchedule DElite Choice 405Schedule DElite Choice 405Single$16.70 $23.58 $16.70 $25.68 E + 1$31.38 $47.32 $31.38 $51.54 Family$48.42 $86.68 $48.42 $94.40 Current 10thlyRenewal 10thlySchedule DElite Choice 405Schedule DElite Choice 405Single$20.04$28.30 $20.04$30.82 E + 1$37.66 $56.78$37.66 $61.85 Family$58.10 $104.02 $58.10 $113.28 29BenefitsHumanaBase planBuy-up planAnnual deductible$50 $25 Provider networkNoneNoneOut-of-network reimbursementN/A80th percentile U&CPreventive servicesPaid according to schedule100%Basic servicesPaid according to schedule80%Major servicesPaid according to schedule50%Ortho services50%50%Annual max$1,000 $1,000 Ortho lifetime max$1,000 $1,500 30Dental Return On Investment Average single adult retail expenses are $326 for preventive services Average retail expenses for a family of four for preventive services is $1304. Average single premium paid for year of $308.

Average family premium for year of $1133.Dental Benefits vs. PremiumsElite Choice 405 Plan31Vision Plan benefits32New Vision Carrier SUPERIOR VISIONSuperior Vision has a combination of better benefits and network accessRate guarantee for 3 years

RatesHumana renewal rates (12thly)Superior 12thly RatesSuperior 10thly RatesEmployee Only$8.34$7.22$8.66Employee + 1$16.66$13.98$16.78Family$22.32$20.58$24.70Rate Guarantee2 Years3 Years3 Years33Current PlanNew PlanBenefitsBenefitsSuperiorCopaysExam$10 Materials$15 Frequencies 12/12/24Network benefitsExam100% after copaySingle vision lenses100% after copayBifocal vision lenses100% after copayTrifocal vision lenses100% after copayFrame allowance$100 Contact lens allowance$120 Fitting fee$25 copay(Previously $40 wholesale)(Previously $105)(Previously deducted from allowance)Sample of network providersRemember that not all providers are contracted for all services and/or discounts. Prior to your appointment, confirm services, discounts, and acceptance of the Superior Vision Plan with the provider.http://www.superiorvision.com/

Providers < 20 miles of district officeHumanaSuperiorAssociates in EyecareMaynardvilleYesYesHalls Vision ClinicKnoxvilleYesYesDr. Mary Ann Marston & Assoc.KnoxvilleYesYesLenscraftersKnoxvilleYesYesSears OpticalKnoxvilleYesYesJohn CondryKnoxvilleYesYesMountain City EyecareKnoxvilleYesYesElliott EyecareClintonYesYesTurner VisionKnoxvilleYesYesDr. Mark Lynn & Assoc.KnoxvilleYesYesDr. Philip JarmonKnoxvilleYesNoWal-MartKnoxvilleNoYesVolunteer EyecareKnoxvilleNoYesSam's ClubKnoxvilleNoYesDr. Bizer's VisionWorldKnoxvilleNoYesRhyne and Patton OptometristsKnoxvilleNoYesCenter for SightKnoxvilleNoYesThe Optical CenterKnoxvilleNoYes35

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